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Cyprus 17, Us 12, U.s. 10, Europe 9, S&p 8, Legalzoom 4, Lte 4, Boeing 4, Nicole 4, New York 4, Nicole Petallides 3, Sandy 3, Cheryl 3, America 3, North Korea 3, Lifelock 3, United States 3, Cbs 3, Ford 3, Dagen 2,
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  FOX Business    Markets Now    News/Business.  
   Business news. New.  

    March 27, 2013
    11:00 - 1:01pm EDT  

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charles: is throwing a wrench into the sense our savings are always safe. how are you doing? dagen: i have connell tied up back here. the capital controls are still in place five years later so we will see how long they last in cyprus. thank you, charles, great stuff all around. i am dagen mcdowell. new controls and people are on the edge of their seats in cyprus waiting for the banks to open. and the cyprus situation, take money from the rich. judge andrew napolitano on this they should be allowed to dip their hands into your bank account. the cyber threats turning to the department of homeland security to bring home a checks. the government is hiring hackers by the hundreds. more ethanol into gasoline could
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damage your car. something your warranty may not cover. so much more coming up this hour of "markets now." a minor selloff, everybody, getting deep into the trading day and the top of the hour, stocks down every 15 minutes, nicole petallides at the new york stock exchange. what are you watching? nicole: i am seeing the market pulled back a little higher. the first thing that comes to mind is the euro. you're looking at the euro hitting four month lows, the lowest levels since november 21. what will happen over the next week or so. i was talking to mark that gray wolf execution partners. he said even yesterday after we gained over 100 points, some of the defensive sectors leading the way. while the market continued to run up, it was nervous in doing so.
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the feeling in the bank stocks, retail have those indices with a perilous right now. back to you. dagen: what will cyprus the will to do tomorrow? no cashing checks. part of the bailout. as much as 40% of large account could be capped to fund the nation's bailout. joining us live with more. what do you know about this breaking news? rich: just coming down from a local news source, no checks will be allowed to be cached, there will be limits on what can be taken out, that is yet to be defined and limited use of credit and debit cards outside of cyprus. these measures are supposed to be in effect for seven days to this question if they will go longer. also questions if the banks will be open tomorrow. we are supposed to be open tomorrow after we thought it thy
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would be open yesterday. when it comes to the capital, you have a large number of foreigners here, 30 billion euros that comes to russians, and already an investigation into whether or not russians and other foreigners have massive amounts of money in the country just days before the bailout read an awful number of ex-pats. talked to one woman from london who says she is leaving. >> i am here every day and i am a watching everything close around me. just overnight clear their shop and gone. when we asked where are you going, maybe cheaper rent, they said there is no future in cyprus, why are we going to bother? we are not sure what is going to happen, what they will import upon us in another three months time.
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therefore businesses see no future. rich: there are reports they are considering lawsuits as a result of all of this. one of the key components of the largest bank in the country anything over 100,000 euros could lose up to 40% of their accounts. back to you. dagen: thank you so much for that reporting. enjoy the sunshine, if you can. so much turmoil in this world but the market has been rallying. the dow closing at an all-time high. the s&p less than a point away from its record close. anyone at that. joining us now from washington d.c., managing director overseeing about $2 million in assets. why is it the cyprus situation evidence of instability of a banking system? look at what is happening in the uk today, more capital from its banks. >> it is a very unfortunate
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situation altering there. you feel for the people there. however, what is happening is they have a rescue package, $13 billion, putting the context the gdp of the country is 24, $25 billion, about the size of vermont. the ecb, the central banks have stepped in to put together a package and they will get through it. a lot of pain being felt now with all the people and businesses going on there. what is happening globally is all the central banks have made it almost a policy now to support asset prices, so when you have situations like this arising, they're coming in and they are stepping in to help stimulate the asset prices and provide funds. dagen: someday that will end, and it will enter the united states with our own federal reserve and you're playing a dangerous game even
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buying equities, betting the fed will keep the measures in place and not know exactly when the fed will start withdrawing information. >> agreed. what is really important is to have a smooth deleveraging. we have leveraged up for years and years. it is seven or $8 trillion. what is happening now is a deleveraging process. when you do leverage, you have bumps along the road. they have for three or four years now been underway. government with their deficit hasn't started the process yet, that is what we hear a lot about on capitol hill..3 it will begin to happen. it is important to have a smooth deleveraging. dagen: of course that is important, but no guarantee that will happen. if you have to choose between asset classes, or get hit once
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that starts to happen, get the accommodation removed, what do you like the most in terms of valuation? >> we like equities here and in emerging markets. really the fixed income market has had a good 30-year run. interest rates at historic lows, so when the fed does begin to pull back and stop the stimulus, you will see a rise in interest rates. it could be sometime before that happens, so we like equities, we feel equities are probably priced here, if the corporation executes the earnings estimates, you should see a rise in equities here and abroad. dagen: thank you, paula. be well. >> thank you, a pleasure. dagen: janet napolitano telling the mantra that her department
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is recruiting skilled hackers to help battle the growing threat to our national infrastructure. saying the agency has 600 hackers for good and once more. the air force has internship or graham for high school students being used to train these kids for the military's cyber emergency response team. here's a look at some of the stocks in that sector. the idea that the government can just come in and take from the rich to stop a crisis. that is what is happening in cyprus. judge napolitano will tell you if this can happen here. the kardashian made their name and money off of a tape but they are threatening to sue ford over this ad we talked about recently. they're exploring their legal options right now. yes, believe it. california landmark golden gate bridge is going digital. why after 76 years it is saying
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dagen: after european officials tossed out the idea of taxing all bank accounts in cyprus, ended up with a solution taking money from the well to do. the rich. an idea that does not sit well with the wealthy here or particularly judge andrew napolitano. the fox news judicial analyst. what is the presence of doing this? >> doesn't sit well with the constitution because the constitution prohibits the government from stealing property. if they want to widen the road and your front lawn is in the way, they can do that but they have to pay the fair market value of the lawn and the loss
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of value in your house because of the loss of the yard. the government cannot just dip into a accumulation of cash with it is an investment or bank account, say the bank only gives back 80% of what she has in there and keep the other 20%. dagen: but when you put the money in a bank account you are really loaning the money to the bank. if that's not the risk? >> the bank can lose it, have a contractual obligation to return it to you. most banks are fdic insured. tough to find one that is not today. there's a commitment to ensure that cash. typically the federal government taxes behavior, something about what federal taxes like excise taxes, you have to buy the look
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for good. in order to owe the tax, terrorists. you have to be the importer of the goods to have to pay the tax income, you have to earn the income to owe the government anything. it would be ailing us to have a government tax wealth just because you accumulated it, just because you have many. dagen: they do that in europe, they tax idle wealth annually. >> i do worry about that here. is it lawful? not under standard interpretations of the constitution. could it happen here? the government does what it can get away with. it happens that there is public it happens to some people in cyprus because others are apparently going along with it since it is only the rich that will be harmed.
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a big, strong guy. he doesn't like that much. they have earned it legitimately, but it is their money being taken. >> that is a powerful, frightening thought. good to see you. stocks now, nicole is looking at boeing. what you know? nicole: we're watching boeing very closely. after enduring the very tough loss, now they're getting loose the 787 dreamliner is the new revamped better battery that doesn't overheat and get on fire. it turns out experts do not allow them to do long-distance
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flights, may only be for the shortened flights. 787 dreamliner was intended to do long-distance country to country flight, that would be a big blow to boeing near term. down 1.1%. dagen: government fuel requirements could be destroying your car, and ford apologizes to the kardashians after the family threatens to sue over those ads which were leaked, by the way. more on that coming up.
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>> this is your fox news minute. demonstrators and supporters outside the supreme court as the justices hear a case involving gay marriage. today's arguments are the federal defense act married gay marriage is getting the same and if it's other married couples get. lower courts have struck down the measure. north korea cut off a key military hotline amid high tensions between the countries. north kooea recently cut a red cross hotline and another with the us-led u.n. command at the border between the koreas.
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they have criticized fresh u.n. sanctions following the nuclear attempt. calling for the end of violence following the weekend message. that is your fox news minute. back to dagen. dagen: thank you so much. new government regulations call for an increase in the ethanol used in gasoline, but automakers among others are challenging that saying fuel like e-15 could do damage to your vehicle. join me now, chief economist at the petroleum institute. why worry about this now? the vast majority is only e-10,
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right? >> right. but there is a big mandate to increase ethanol. the increase to e-15 could damage vehicles and fueling system, void warranties and it is not good policy. dagen: over what time are we talking about? wouldn't the automakers have time like the flex fuel vehicles that can take e-85. >> there is only a small share of the gasoline pool using e-85. only 10 million vehicles out of 250 million that can use greater than 10% ethanol without damage. in terms of when this could happen, we're approaching very quickly that 10% of the gasoline pool will be ethanol. that could mean happening just over the next couple of years.
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dagen: and all the automakers araren't fighting business ford appeals court, trying to take it to the supreme court. the appeals court called the research they presented if you will or the claims to be speculative about the damage it can do to automobiles. >> if you look at the research done by the coordinated research council, there was damage to vehicles using e-15 and damage to the fueling system. there was damage there. why are they continuing forward with it? dagen: ignoring the mandate, what are the advantages of mixing ethanol into gasoline? >> one advantage of mixing ethanol with gasoline is you have higher octane. but you get less btu. tif you compare the price of ethanol, the btu adjusted basis it is about $0.70 or $0.80 per
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gallon more expensive. dagen: do you think so americans don't know that they're mixing -- because it is not even underground anymore, 100% gasoline movement in this country, do americans fully know how much of a point comeback ethanol is in the ca guessing they're putting in their car? >> they probably don't. be cautious to use plans greater than 10%. they recognize that could be damage to vehicles and fueling systems. the average consumer should consult what the owners manual says they can use. dagen: i'm a girl who gets excited about ethanol and gasoline blends, what can i say. be well, john. >> thanks for having me. dagen: jeff flock earlier accused me of not getting excited about the new toyota highlander. making its world debut at the new york auto show in just a few
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hours and jeff flock, you are wrong, i like the highlander. it wouldn't be my first choice but maybe i will like this one even more. jeff: if i ca can't convince yoo like it, maybe jim can convince you because he has a lot riding on this. and there it is. you like it. dagen: it is a fantastic vehicle, the existing owners will have to like it. a lot of others driving non-highlanders were even small suvs willlabsolutely love it. jeff: take a look at the unveiling. a calm unveiling. here is the deal. toyota sells a whole lot of cars, a whole lot of cars in america. he don't necessarily want to change things up, but you don't need to crush through.
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>> le lets the car be the star. this is all about the product. in this vehicle, five years ago this would have been a really great vehicle in a much larger segment. a great interior. jeff: i want to walk through the rest of the exhibit if i can. talk about the camry. you have been the best-selling car in in america for 11 straight years, sales in february down a little bit at 9% even though toyota as a whole is over 4%. you're still going to sell 400,000 this year, but what do you do? i'm in front of the corolla concept, how do you fresh enough to still keep all the people you are already selling to? >> younger buyers want something more emotional, more exciting.
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in the case of camera, sells 400,000 plus vehicles. so you can't go too crazy on style. it is all about the total package. it is about the interior, it is about the vehicle, you want to get the whole package. you now not only do that, but you control the whole operation. >> for the first time all of toyota north america reports go to one person. jeff: you don't seem crazed, but you should be. speakers allows us to speak as one voice and we will build even bartebetter cars for them. jeff: he will be part of the one-hour special of the rebirth of the auto industry.
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a little less invested over there. dagen: they have had significant engine failure so far. now he has that on his plate. >jeff: he is in charge. dagen: yes, he is. a new charge to the phone app for magazine publishers. walt has taken it for a test drive and is here to fill you in on flipboard. and you have to pay to browse, charging customers to look inside the store. we will be right back. [ male announcer ] you are a business pro.
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how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed: the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪
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dagen: stocks now, nicole is watching clip cliffs natural resources. nicole: they are all working hard over there. the stock is tanking down over 14% today. on the same date both are talking about cliffs. slashing price targets. both doing so. going to $10 from $30, they say it is going to $10. structural changes taking place, compromising the pricing power and erode the earning potentials of the iron ore business. shares with this commentary are dropping dramatically.
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i have a $10 price target. although the big guys coming up with news and that is why it is down 15%, dagen. dagen: thank you, nicole. flipboard allows you to flip through news and photos, but it now gives a new update and with this users get the chance at creating their own magazines. joining us now from washington, d.c., in this week's "all things d," "all thing walt. part of york tech drive you put together magazines, and one is the red sox, of course. >> there cannot be too many magazines for our concern. dagen: you like this update. why? >> flipboard is a terrific app. a great example of what you can
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do on a tablet. i started on the tablet and end right now. with this version they're making it possible for me to be a publisher magazine even if you know nothing about the design and layout, you click on the little plus button next to your hand-picked content, it could be something you get off the web, something from social networks. it is all around whatever subject you want. i made a red sox magazine and one on the american revolution, which is of great interest of mine. i made one on ancient wonders around the world and i made one on the great crop of tv dramas that are out now, which i call "this is the golden age of tv." those are different examples of what you can do. i think they launched this last night at about 9:00 eastern, and
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they have thousands of magazines already. you can make one on racing engines, have you thought about that? dagen: i was looking at your one on the golden age of tv and i was thinking to myself what would i do. it would have to do something with racing. do you think this would catch on? bigger picture, would it change the way people potentially consume news and information from social media? >> first of all it isn't only social media. they actually have a web bookmark you can use on your pc or mack, hit plus, plug it into your magazine, it is really anything out there. videos, photos, anything out on the web. i think it will give people a lot of new ways to consume things. if you didn't really want to go
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through the hassle of creating a blog or a website, you can do it on one of these magazines. there is another important point here. it is just one more step in the evolution of these things from consumption devices, talking about the tablet and smart phone to creation devices, it gives you the opportunity to be a creator without touching your pc on your tablet or your smart phone. people will have to change gradually how they think about these devices as not just for consumption, but for creation. dagen: it made me start rethinking just reading your column last night. one more think, after you create a magazine, cannot go back and edit it. it looks like you suggested flipboard would fix some of the
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smaller issues you had with it. >> this is just the start. more limitations than issues. to put out a futur feature set d then added and updated. you can do some to change the cover photo, if you don't like one that they have automatically picked. those are all things they're planning to add as the weeks and the months roll on. it is just going to get better, i think. dagen: go red sox. only for you. >> pete as well. take care.
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dagen: the golden gate bridge is saying goodbye to human toll takers. they will switch to a faster and cheaper digital toll system allows drivers to pay using digital transponders, they deduct money from a prepaid account or credit card or through license plates that generate bills, the switchover to save $60 million in salaries and benefits over eight years. the kardashians are exploring all leggl options after seeing the ad of them tied up in the boost for a car. releasing a statement calling disgusting to all women. there was the drivers, and for released a statement apologizing saying they were a result of individuals acting without
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proper oversight. this is a family that has made famous off of a tape kim kardashian made, so i'm glad they are feeling more full of themselves. browsing comes with a price, this is a store in australia that hates when customers walk round the store and go and purchase items elsewhere. thethe post they say they will charge $5 looking fee. if you buy an item, the price will be deducted from the purchase price. that makes no sense. and how much of this cost from go sam to borrow money today? you typically see buying treasuries as stocks selloff. take a look at the yield on the 10-year period above 2% not long ago, now back below 1.9%.
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my mother made the best toffee in the world. it's delicious. so now we've turned her toffee into a business. my goal was to take an idea and make it happ. i'm janet long and i formed my toffee company through legalzoom. never really thought i would make money doing what i love. [ robert ] we created legalzoom to help people start their business and launch their dreams. go to legalzoom.com today and make your business dream a reality. at legalzoom.com we put the law on your side. and make your business dream a reality. your chance to rise and shine. withth centurylink as your trusd technology partner, you can do just that. thur visionary cloud infrastructure, global broroadband network and custom commucations solutions, your business is more reliable - secure - agile. and with responsive, dedicated support,
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we help you shine every day of the week. sandra: i am satisfied with your fox business brief. the city council unanimously approved $7 million in incentives to keep samsung semiconductor from leaving for austin, texas.
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developing a new campus in san jose employing 2000 samsung semiconductor has been based in the silicon valley since 1986. department of transportation says last of u.s. airlines had 82.8%. and airfares jumping 3.1% during the first nine months of 2012. and jcpenney bringing back a strategy of raising the prices and discounting them on their own brand of the reported 25% drop in sales. that is the latest from the fox business network. ♪
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[ cows moo ] [ sizzling ] more rain... [ thunder rumbles ] ♪ [ male announcer ] when the worldoves... futures move first. learn futures from experienced pros with dedicated chats and daily live webinars. and trade with papermoney to test-drive the market. ♪ all on thinkorswim. from td ameritrade. dagen: we now have the biggest internet attacking history. cyber security experts from around the world are looking into an attack that caused a global slowdown on the internet. helping weed out spam and unwanted content found itself
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locked in a fight with cyber bunker after added cyber bunker to the filter. they started a week ago and huge concentrated data streams were sent out over the internet slowing down connections around the world. internet users of websites like netflix could not log on and security experts fear this is just the beginning. the text of a more ferocious and can take down bank accounts and e-mail. we will continue to update the story as we get details. a battle over internet domain name. the details on this story. >> a storm is brewing over a domain name. the weather channel and accuweather rattling it out.
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the weather channel applied to the nonprofit agency in charge of assigning these web domains, internet corporation for assigned names and numbers. but accuweather does not want that to happen. it and 20 other companies and competitors have filed a petition saying it gives too much power to the weather channel giving it a level of authority that can't be matched and putting others at a disadvantage. even though even still the weather channel pretends this is all part of an open process, but this is not the only battle that we will see over the web domain names. look at the applications for other domain names and this is what i found. an interesting twist, applied for the name.android. i'm sure they will have a debate
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over this. dagen: .weather is awfully long though, isn't it? stocks now, watching her top movers. nicole: let's start off looking at jcpenney, dollar general and blackberry. jcpenney won the first and foremost earlier this morning on the treadmill looking and seeing how he was going to go back to the original jcpenney, mark it up so he can knock it down. he wanted to just have low prices all the time, that has not worked for the company last 52 weeks, so they are doing an about-face down 1.6%. blackberry still not too hot. dollar general will be issuing
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$30 million share secondary. it is a winner year to date. dagen: jaguar land rover revealing their new vehicle.
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dagen: so close, yet so far. the s&p and the red today after just missing its all-time closing high yesterday by about a point. sandra smith with more on today's trade. sandra: we are still flirting with those levels.
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they watch the s&p 500. not necessarily the dow. 1565. we're about four points shy even on this down day. the record highs much higher than that, 1576. a lot of analysts could dig optical will be to reach that high number. at this very moment we are reaching the height highs of the session, so it may not sit on the sideline for long. while you watch that, here's a look at the year to date chart up, up and away. turning no further than looking at the dow 30 component. johnson & johnson making all-time highs. some consumer names with some of
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the most recent part of the rally, so keep that in mind. also want to splash over the sectors. some energy names, the center up more than a full percent, energy has been gaining on the yield of a very strong oil market down slightly today, but look at this one year chart. bouncing back $96 change, so one of the leading sectors in this has been the energy stocks. energy names, couple of other leaders in the rally throughout the session. want to bring back the intraday chart. look at that, fresh highs as i send it back to you. dagen: to look at the nasdaq, how far the nasdaq would have to get back to. it is bout 30% away still. it is going to take a while. the technology stocks have not been leading the way. a strong trend so far, looking
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at a record high, still has far away to go. dagen: sandra smith with today's "the trade." jaguar land rover revealing the sport at the auto show last night. james bond, daniel craig driving the all-new sport around manhattan in a live reveal. joining us now from new york auto show. how much did you have to pay him to do that for you? >> whatever we paid him was fantastic. brought the streets of new york to a standstill. a british icon revealing a british car. dagen: what does the sports bring to the table that the last model did not have? >> we launched 2005, time for a
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brand-new one. we launched this car, that went to market in august. taking 800 pounds of waste out of the car, so this is much better than the previous model. dagen: i talked to my buddies about this, jeep is selling wrangler hand over fist, so when are you bringing it back to the united states? >> that is a question we are asked all the time. it is a global vehicle for sure will be appearing in the usa. i am in love with the car as well. dagen: i think we actually talked about this, what you are saying is it will be sold in the u.s. again, but it will be the next model, right?
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>> that is exactly the case. i have to tell you. dagen: what year are we talking about? >> we have not decided yet. there is a whole cadence of launches, it is somewhere over the next two years. they lost between now or then. dagen: your unfailing the sedan at the auto show, again, big horsepower, rapid acceleration. i want to know, is this more car? whether it is the m. class, is this more car than the average driver really need at this point? >> some people want performance.
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450-horsepower. you have a full range of vehicles. so it is not the car for everybody, but for those real enthusiasts, the competition already has those derivatives. dagen: andy, it was great to see you, enjoy yourself, i know you will be very busy. i will be waiting for the defender. be well. >> thank you. dagen: capital restrictions in place in cyprus as the banks try to reopen tomorrow and a new attack, the largest of its kind pulling websites around the world. cheryl and dennis are on top of those stories as "markets now" continues. a wingman. and my cash back keeps the party going.
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dennis: is high noon. i am dennis kneale. cheryl: hello. i am cheryl casone. thanks and cyprus waiting to open. buyers who wear. dennis: the cyber threat. turning to the department of homeland security to bring in their paycheck. it is top of the hour. time now for stocks. nicole petallides is at the new york stock exchange. nicole: are down about 40 points on wall street.
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yesterday we gained over 100 points. we were really testing some all-time highs. the rally yesterday allowed the traders to be a little weak. today we are looking at a market with down arrows. you see names such as jpmorgan, boeing, 3m and home depot on the downside. the u.s. is now probing jpmorgan's action in the madoff ponzi scheme. the banks really must have known. now, the probe is continuing am looking into more closely into jpmorgan in particular. back to you. cheryl: new capital restrictions are going into place and cyprus.
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there will be no check cashing, limits on with drop. ashley webster is here to tell us how everything got to this point. >> this did not happen overnight. the writing was on the wall. in the end, it was closer to 75%. that decision cost banks more than 4 billion euros. this is for a companies whose gdp is just about 18 billion euros. march 16, sex birth they will be hit with a 10% tax. as protesters hit the streets,
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the banks had closed. three days later, march 19, the parliament actually rejects the idea of a bank tax. two days after that on march 21, the ecb stops. unless the bank taxes put in place back on the table, that emergency bailout will be cut off during the week. the bank tax back on the table. lawmakers trying to reach some sort of agreement. they stick with a 10% tax on wealthy depositors. the protests continue. march 24, they take affect with withdrawal. you can only withdrawal 100 euros. march to five got a last-minute bailout deal is finally reached.
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cyprus agrees to inflict heavy losses on wealthy uninsured depositors. small savers are spared. the banks remain closed on this wednesday. dennis: once it settles, is this crisis now over? >> not necessarily. i do not think anyone thinks that. the bailout funds will allow the government to pay its own death. they will have to enact some very tough. he measures. it has to regain trust among investors. the first big test could come tomorrow when banks are scheduled to reopen their doors. cheryl: thank you very much, ashley. despite the deal to save cyprus, europe's deals are nowhere near fixed. matt mccormick is here in
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person. great to see you. you may europe's problems are far from over. we have to worry about it with our own banking system. >> that is right, cheryl. you will likely see investors and banks and portugal, ireland and other areas to move assets into other banks. they have a lot of european exposure. cheryl: your bank of america, citigroup, etc. >> these are global companies that have global clients. when you see the situation which appears to have been in the market gets more volatile, the money center banks are likely to sell off.
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cheryl: i think about the connection you are making here. many investors here, we obviously know what bailout means. there is concern, of course, that our government could go too far. >> i do not think that they will come in and take the money. europe had substantial issues and their economies were flaring up. a lot of the money center banks feared badly. i think the alternative, if you to be in the banks, look at regional bank stocks. do not have european exposure. cheryl: play off of europe and what is happening there is a natural way to make money. you and i were supposed to talk about the stress test. bb and she did not come out positive.
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>> they are in a growing area of the economy. all of them we feel will grow their dividends and all of them are very conservative. if you think europe will have more volatility, i think that will affect the money center banks. cheryl: i would love to look at these names a little closer. you are saying is of europe, these are the names that you should be buying. not only to make money, but to protect yourself. cheryl: i want to get your market overall. we have had a great rally. we had a selloff. you are kind of saying we are in
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that. >> i find it fascinating that the market looks quarter and. more volatility, not less. it has a 625 trailing pe. pay more to all men and the well where there is more volatility in the market. cheryl: matt, think very much. great to see you again. matt mccormick. dennis: what might this mean for stock prices? then, thank you for being with us.
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what i want to know, though, do you worry that we will tumble and stocks will head way down or are you saying once the economy gets really stronger, stocks will go up even more? >> essentially, we are seven years into a reverie. we are not out of the woods just yet. you have trillions dollar deficits the last several years. all of this has been a big boom to the private sectors savings initiative. now we are going the other way. at some point, we will be looking at other interest rates. ultimately, it owned companies with a very good balance sheet and are consistently profitable,
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i think here is the way to play it. i think we can make money over the long term. dennis: would you put or money into stocks right now? >> we mentioned in our reports. ultimately, i think that because we are not out of the woods, the companies that are increasing their dividends have wasted their balance sheets. you want to build your portfolio around that to get a pullback in the market. dennis: the dow and s&p are near record highs. >> ultimately, the companies over time can grow to become your large stocks. lately, if you have a longer-term and you can take
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some risks, i think you can still make some money there. when you do have these pullbacks in the market, you can find lots of good opportunities. dennis: what key indicator would you look at to tell you that the economy is going up or down. >> ultimately, it has been a very big barometer for us engaging in the economy. dennis: tank you very much. we appreciate it. cheryl: there is one. there is 30. jcpenney brings back the coupons. a 25% drop in sales forces the retailers tell back to its old ways. raising the gasoline standard.
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it is also ranging the dangers to your car. as we do every day at this time, let's get a check at some winners and losers. ♪
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dennis: stocks now every 15 mins. we have team coverage. cheryl: we have phil flynn, charles payne and nicole petallides. first, to nicole. nicole: we gained more than 100 points on the wall street yesterday. one quarter of 1%.that is about
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the s&p down a quarter of a percent. we are seeing drug stocks and bank stocks to the downside. the dollar still remains strong. the euro hit those close that we have not seen it november to one. what is interesting about the rally that we saw yesterday a bout of the defensive areas were the ones that were leading the ways. the things you really need to run this market would be the broker dealers. those have been turning and rolling over and pulling back a bit. that is the latest on the floor of the new york stock exchange. >> we are not even talking about europe. least not in the oil patch,
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anyway. we have been talking about supply and demand. look at today's inventory numbers. in lot of surprises. crude oil up 3.2 william barros. that is upside down. the big surprise is the inventory that includes heating oil, a massive drawdown of over 4.5 billion barrels. incredible. if you look at this report, based on expectations and you look at what the market is doing, it is laying the report out perfect. cheryl: thanks to both of you. dennis: it is time to make some money with charles payne. charles: you remember that song from mr. collins.
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these guys are doing really well. zillow and trulia numbers are just ridiculous. revenue per user exploding. every aspect of a business that you want to look well looks really good. real quick trivia question for you. how many metropolitan really areas is it cheaper to on van rent? cheryl: all of them. charles: i think these two may emerge as the new giants. zillow and trulia. cheryl: thank you, charles.
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2012 with over 4 billion in profits. i am going to go one-on-one with chairman john nelson. dennis: we had to the auto show where jeff flock talks gas mileage with ford. ♪ dad, i'd put that down.
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ah. 4g, huh? verizon 4g lte. 700 megahertz spectrum, end-to-end, pure lte build. the most consistent speeds indoors or out. and, obviously, astonishing throughput.
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obviously... you know how fast our home wifi is? yeah. this is basically just asast. oh. and verizon's got more fast lte coverage than all other networks combined. it's better. yes. oh, why didn't you just say that? huh-- what is he doing? and his new boss told him two things -- cook what you love, and save your money. joe doesn't know it yet, but he'll work his way up from busser to waiter to chef bere opening a restaurant
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specializing in fish and game from the great northwest. he'll start investing early, he'll find se good people to help guide him, and he'll set money aside from his first day of work to his last, which isn't rocket science. it's just common sense. from td ameritrade.
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>> i have your fox news minute. the supreme court heard arguments today on the federal defensive areas act which keeps. gay americans from getting the same federal benefits other married couples get. north korea says it cut off a key military hotline with south korea as tensions rise between the countries. north korea recently cut a red cross help i'm with south korea and another with the u.s. command at the border. the country has criticized brush
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sanctions following the nuclear test in february. germany, work crews have been removing parts of the berlin wall to make way for an upscale building project. police were on hand to handle protests. they are creating an access route for the construction site. that is your fox news minute. back to cheryl. cheryl: thank you very much. appreciate it. after accusations that certain vehicles were not getting the mileage that it is claiming, ford is trying to develop vehicles with more accurate calculations. jeff flock is live with this story. jeff: i have the man of the hour with me. you have about six different hats. the one we want talk about is leading the charge on this
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criticism you have taken on your epa mileage ratings. >> we have absolutely complied with the epa test cycle. the mileage label that we have is absolutely accurate theeone thing that we noticed with hybrid is the way you drive them has a big impact. this is an industry issue. we have got together as a industry and talk into the epa about the test cycle. they are very open. jeff: i want to walk over here. frank, come over here with the camera. this is one of the hybrids in question. i want to talk about the fusion hybrid beard that is such a huge seller. as you point out, it gets cold out and it changes.
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if you run it real hard, it changes. >> absolutely. i drove conservatively and got 48 miles per hour. on the way back, i drove like i drive my mustang and i did not get that. jeff: take a look at the numbers. take a look at the numbers on the fusion sales. they are now in third place. almost beat the honda accord. the camry not that far ahead of you. who thought an american car would be this far up. >> it is so exciting for us to see forward at the top of the charts with these new products. fusion just came out. people really love the fuel economy. it is fun to drive and they love the look.
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jeff: it has maybe even help the sale of the fusion. a real hot car for ford. this will be controversy going forward. these are not as easy to make these days. it is not like the old gasoline cars where you could figure this out real easy. jim farley called it an arms race today. leadership. victory. prominence. cheryl: jeff. that was awesome. the cards look great on the floor of the auto show. nice and shiny. thank you. dennis: keep it right here on fox biz for more on the auto show. at 1:00 p.m. eastern, we'll hear from the volkswagen ceo.
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coupons and markdowns. they are back at jcpenney. the retailer goes back to the old ways. cheryl: coming up. the san jose sharks arena. as they go to break, let take a look at some of the winners and the losers over on the s&p. the s&p trying to hit a record close today. we shall see. we will be right back. ♪
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dennis: we have stocks now every 15 minutes. nicole: you can see it is down
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three quarters of a percent. lower demand and market. they put an $88 price target with an outperform rating. there is still upside potential. they lowered their estimates. that is the first story we are covering. keeping a close eye on apple. they had their estimate reduced the company lacks catalyst. they have an outperform rating. cheryl: in hearing a thousand dollar call on a couple stocks. thank you very much.
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cheryl: it could be one of the most humiliating turnarounds. jcpenney's is now backtracking. after a dramatic plunge in sales. with more on how this strategy backfired, elizabeth macdonald with the bottom line. liz: here is what they slashed year about thelow price and getting rid of coupons. high hopes. coupons were a drug. another top executive said we have to wean them off of coupons and educate our consumers.
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former apple executive started to sit in the jcpenney chair. it is a great point. what is ron johnson saying today? he is saying our marketing did not connect very well with our customers last year. what they are doing now is saying now we understand customers really are motivated by discounts. they do not want to see the company doing the price cutting. dennis: it is a drug that retailers have to live on.
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eleven it is a great point. you know what else happened here, tens of thousands of workers were let go at jcpenney because the sales plunged. there was only six years ago. the markets reacted. the advertising on tv did not work either. they showed a commercial with screaming about coupons. dennis: ron johnson just made the mistake of thinking he can make jcpenney into apple.
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liz: you try to make it a curated option. it did not work. cheryl: it is a completely different and unique experience to go into an apple store. i can go get. anyone. i can go to jcpenney's, macy's, sears or wherever. speed 11 their earnings for cash flow is pretty rapid over there. dennis: to the cyber threat. what is being called one of the biggest internet attacks in history. an organization that helps e-mail providers weed out scams. it found itself in a fight with a dutch scammer after spam haus added it to the spam filter. a huge concentrated datastream. it slowed down connections across the world. cyber security efforts tell us
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that the attacks are getting more ferocious and could soon take down everyday services. if you are in your boxers in your moms basement hacking into places you shouldn't be, we want to hire you. three of the four are up. cheryl: you can basically work in her pajamas for the u.s. government. a new study by the society of actuaries explained that insurance companies will have to pay out roughly 32% more for
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medical claims under president obama's medical healthcare overhaul. cost control. we had alan miller on yesterday. he said there is no cost control in any of this. dennis: they named it the affordable care act and now they are telling us we have to raise premiums 30%. how about you just don't do it. it is a math. -- it is a mess. i do not think they even read the bill. partnering with alliance. buying 50% of the tv guide
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channel. the futurr of the channel is coming up in my media minute. cheryl: lloyds of london. 4 billion in profit after payouts for hurricane sandy. i will go one-on-one with the chairman coming up next. i want to take a look at the ten year treasury. a lot more attractive. ♪ my mother made the best toffee in the world.
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>> i am tracy byrnes with your fox business brief. pending home sales climbed in february. contracts to buy homes remained at the second highest level in almost three years. realtors blame the slight job on a shortage of homes in the market. sources tell reuters that federal aviation administrators may oppose a temporary ban on some of the long-distance journeys that the 787 was intended to fly. the department of transportation says last year u.s. airlines had a record rate of seats filled.
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airfare jump tree .1%. that is the latest from the fox business network. giving you the power to prosper. ♪ we went out and asked people a simple question: how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed: the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these yers. ♪
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dennis: in today's media minute, cbs is buying a half interest in the tv guide channel. cbs is buying that state from the jpmorgan fund for $120 million. that would value tv guide at three dollars per household. now imagine the upside. turning this into a new outlet for cbs shows. here is the most interesting angle. this deal puts cbs in business with this other owner, lions gate entertainment. that is quite a combo. lions gate is a teenager goldmine with films like "the hunger games" and "twilight."
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it makes you kind of wonder. cbs stock up 40% in the past year. lions gate has fared even better. it has doubled. cheryl: a quarter till. stocks now. what are some of the big movers that you are watching, no cool? nicole: the dow is down eight quarter of 1%. oil is lower. i was looking at some transportation stock today that are on the move. i wanted to bring them to your attention. look at xl marathon. it is up about 14%. we are looking at both shipping for that example in addition to xl marathon. you can see these names on the
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move. up 2.5%. these transportation stocks, in particular our real movers and rumors to the upside on a day where you are seeing movers. dennis: bouncing back with over $4 million of profits. it was the second hurricane in u.s. history. they have most of the exposure to the u.s. the chairman joins me now. what a turnaround from 2011 for you, john. japan, the earthquake, the floods in thailand, that was such a negative in 2011. what do you think changed the narrative for your company? >> well, we are a market. we are the only insurance market in the world.
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it suffered this extraordinary coincidence of catastrophes from australia, new villains, thailand, japan and into the united states. in 2012, we had a much more normal pattern of claims. it was not -- that is what lloyds is therefore. we are there to ensure these risks. cheryl: you have to forgive me. i was looking at the cost of sandy. $2.2 billion. also, the fact that that was despite the fact that you got exposure to sandy.
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tell me what you are learning over the last five years about how the market handles these pastors. >> there is no question. it is driven by a number of factors. one is climate change. the other, of course, is as the world industrials is and commercializes. that is what would example is. what we are learning from this is the absolute importance of sophisticated risk measurement using data bottling and imposing that into the underwriting discipline in the market. you will see good underwriting
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discipline. if you look at the combined ratio, that has shown up very favorably. that is a tribute, i think that to the underwriting market. cheryl: i do want to get your take right now on what we are seeing happening over in europe. in particular with cyprus. we had a guest day he believes a lot of that on he will flow into uk and u.s. banks. what is your overall sense of what is happening right now? >> well, i think, i mean, my thoughts will not be particular regional or original. we saw some gdp figures disclosed today down 2.3%.
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i think that outlook is very subdued for the time being. in terms of the financial system, particularly in the euro zone, the problem relies in the euro zone rather than the uk. until there is greater political fiscal monetary unity within the euro zone, the fault lines will remain in the euro. you know, while germany and ecp have done a good job in saving off crises, the fundamental problems will not be solved. cheryl: john nelson. thank you very much. good to see you again, sir. >> thank you. cheryl: i want to update you on a story that we brought yesterday. sacramento city officials have approved to build an arena and retail center downtown. this is big.
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they are trying to keep the kings in the state capital. the sports team is trying to move to seattle. mayor johnson must now convince to block the current owners from initiating the move. they could still bail on sacramento and move to seattle. dennis: it is their property. they can move it worthwhile. cheryl: a wonder of the modern world. the changes coming to the golden gate bridge. that is coming up in the west coast minute. dennis: the government messing with your ride. ethanol increases in gasoline. the chances of damaging the car's engine, they are increasing also. ♪ and everyone but her... no. no! no. ...likes 50% more cash. but i don't give up easy... do you want 50% more cash? yes! yes?!
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♪ [ male announcer ] the capital one cash rewards card gives you 1% cash back on every purchase, plus a 50% annual bonus on the cash you earn. it's the card for people who like more cash. ♪ what's in your wallet? why? and we've hit the why phase... ah. 4g, huh? verizon 4g lte. 700 megahertz spectrum, end-to-end, pure lte build. the most consistent speeds indoors or out. and, obviously, astonishing throughput. obviously... you know how fast our home wifi is? yeah. this is basically just asast. oh. and verizon's got more fast lte coverage than all other networks combined. it's better. yes. oh, why didn't you justay that? he doing?
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cheryl: it is time for your west coast minute. the san jose sharks they had a little hewlett-packard and their blood. they are trying to get out of there naming rights. ceo wants out of the $47 million deal. the 15 year agreement is scheduled to end in 2016. take a book that shares of hewlett-packard. year to date, not bad. history of the golden gate bridge. a payment system has replaced human workers. arizona senator john mccain expects to to work the arizona texaco border later today. hoping to get a better sense of the border security.
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that is your west coast minute. dennis: lawmakers in washington increasing the ethanol standard. they are also increasing dangers to your car. 95% of the gasoline now sold as ethanol as a component. it is safe only for cars and trucks made in figure 2001 or later. many are concerned about the damage it will have on the car's engine. we have an economist who spoke with dagen a little while ago about this. >> it was done by the court in -- there was damage to the fueling systems. this is on equivocal. there was damage there. why are they continuing to push forward with it?
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cheryl: yes. ethanol is not the thing anymore. it is called the affordable care act. another new study finds that may not be the case. adam and lori will tell you how much more it will cost. they will get lou dobbs to weigh in on that. dennis: justin timberlake's suit and tie. dress for success. that is ahead. cheryl: a great album. you have to download it. it is really good. ♪
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melissa: and welcome. adam: stocks pulling back after hitting new highs, but get off the sidelines. wells fargo chief equity strategist with his role as call for stocks in moments. melissa: banks are beefing up security, what happens next as
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the banks get ready to reopen tomorrow. we are live in cyprus. adam: president obama said his health law would lower cost, but a new report is another example of how that is just not the case. we will tell you how much mortal cost you and get lou dobbs take and what he thinks this is all about. coming up. melissa: stocks now as we do every 15 minutes, nicole petallides is standing by. nicole, stocks are down, but off of the lows of the day. nicole: absolutely. we have come off of our lows of the earlier day. improving some. the dollar still remains very strong, the euro hit four-month lows, the dow, nasdaq and the s&p still in the red. the retail index, the bank index, transport all to the downside. oil services looking a little bit better. but the big picture as we continue to watch a market that is somewhat tepid and nervous.